Indonesia’s luxury hotel sector has returned to pre-pandemic occupancy levels, outpacing all other hotel classes and signalling renewed strength in premium travel demand as the country’s tourism industry moves into its next phase of growth.
The recovery, alongside rising branded residence momentum in Bali, took centre stage at the inaugural Indonesia Tourism Xchange 2026 (ITX 2026), held today at The Langham, Jakarta before an audience of more than 400 industry leaders from hospitality, tourism, investment, data, sustainability and branded real estate.
As host venue and partner, The Langham, Jakarta provided a fitting setting for the inaugural forum, placing the discussion within one of the capital’s leading luxury hospitality addresses and connecting the event to wider conversations around premium travel, mixed-use development and branded hospitality.
“Luxury travellers coming to Indonesia are not looking for replicas of global hotels,” said Sherona Shng, Regional Vice President – Operations, Asia, Langham Hospitality Group. “They are seeking meaning, context, and a sense of place. The brands that succeed here will be those that understand Indonesia’s cultural complexity and deliver experiences that feel deeply personal, not standardised.”
According to STR, the hotel analytics division of CoStar Group, luxury hotel occupancy in Indonesia for the 12 months ending March 2026 has returned to pre-pandemic levels, outperforming all other hotel classes, which remain 5.5 percentage points below their previous highs. Indonesia’s hotel rates have also risen by more than 40% since 2019, supported by market maturation and new high-end hotel supply.
The data points to a more confident outlook for premium hospitality in Indonesia. Building on this, luxury hotels have led average daily rate growth since 2023, while Bali’s luxury segment continues to record strong rate growth on the back of international demand and diverse source markets.
Alongside the luxury travel rebound, ITX 2026 also spotlighted the rise of branded residences in Bali. According to C9 Hotelworks research, Asia’s branded residences pipeline has reached IDR707 trillion (about USD40 billion) across 50,025 units, representing 30.3% year-on-year growth. Indonesia accounts for IDR24.7 trillion, or about USD1.4 billion, across 1,145 launched units, highlighting the country’s regional importance.
Bali has emerged as one of Indonesia’s key branded residence markets, accounting for 25% of the country’s branded residence market value. The island now has more than 70 active hospitality-managed developments, with branded residences accounting for around 10% of active supply. Canggu/Berawa is the largest cluster, with 1,703 units across 25 properties, followed by Uluwatu, Seseh/Pererenan/Nyany, Seminyak and Sanur.
Organised by Horwath HTL, C9 Hotelworks, STR, QUO Global, Greenview and Delivering Asia, in partnership with Langham Hospitality Group, ITX 2026 has been created as a new annual platform for market intelligence, industry dialogue and commercial connections across Indonesia’s tourism and hospitality sectors. The event is supported by the Indonesian Hotel & Restaurant Association (PHRI), Jakarta Hotels Association (JHA) and Bali Hotels Association (BHA).
Under the theme “Reimagining Journeys”, ITX 2026 addressed how Indonesia’s tourism sector is evolving in response to luxury demand, hotel performance, branded residences, investment trends, design, technology and sustainability.
